Germany and Japan Deepen Hydrogen Cooperation

On Wednesday, German Transport Minister Patrick Schnieder arrived at Toyota's fuel cell factory in a German BMW iX5 Hydrogen, only to later depart in a Japanese Toyota Crown FCEV. The choice of cars was, of course, no coincidence, with both vehicles generating electricity from hydrogen in a fuel cell.

Car makers BMW and Toyota are currently jointly developing the third generation of this drive technology. Three BMW employees have specifically moved to Japan to participate in the undertaking.

Both companies are contributing components to help develop a more compact and efficient fuel cell. Once this stage is complete, BMW will manufacture this drive technology in an Austrian factory and Toyota will do the same at a Japanese production site. BMW plans to launch its first hydrogen series model in 2028. Toyota will also equip its two existing hydrogen series models with the new system. Exact details, however, are not yet known.

Complex challenges ahead for Germany, Japan

"The cooperation between Toyota and BMW on hydrogen is groundbreaking for the further development of this drive technology," Transport Minister Schnieder told reporters after his visit to the city of Toyota. "We need to get hydrogen ready for series production so that we are not just dependent on batteries and fossil fuels and can build broader supply chains," the minister added. Germany and Japan, Schnieder said, had been working together on this "extremely complex task" since launching their energy partnership in 2019.

Germany expects a sharp increase in demand for green hydrogen produced using electricity from renewables by 2030. It will be unable to meet this demand and thus will have to import large quantities of hydrogen.

Japan, too, plans to expand its hydrogen capacity to twelve million tons of per year by 2040. It is also, however, promoting the production of ammonia as a carrier for hydrogen. There are plans to add ammonia as a transitional fuel in conventional thermal power stations.

Hydrogen remains niche fuel for now

The German minister's visit to Japan showed that both countries are still a long way from making green hydrogen a widely available fuel, especially in the industrial context. Schnieder visited the world's first terminal for liquid hydrogen in the port of Kobe, which has so far only been used for testing purposes. He then visited Kansai Airport in Osaka, where buses and forklift trucks run on fuel cells, albeit as a pilot project only.

Japan and Germany have recently intensified their hydrogen cooperation. Last September, Kawasaki Heavy Industries, Toyota, Japanese electricity supplier Kepco, Daimler Truck, Hamburg-based fuel supplier MB Energy and the Port of Hamburg agreed to establish a commercial hydrogen supply chain.

Meanwhile, German and Japanese authorities are exploring ways to finance the hydrogen production boost that will help reduce price spikes. After all, at first green hydrogen will be significantly more expensive than fossil fuels. Siemens Energy and Toray want to improve electrolysis technology for green hydrogen, while Thyssenkrupp Nucera is eager to tap into the Japanese electrolysis market.

German refueling standards

Germany is one step ahead of Japan when it comes to making hydrogen available to power commercial vehicles. Earlier this year, Minister Schnieder made a total of €220 million ($255 million) available to build up to 40 hydrogen filling stations throughout the country and put up to 400 hydrogen-powered trucks on the road. Meanwhile, Daimler Truck has begun operating Germany's first liquid hydrogen refueling station for trucks.

Daimler's Japanese subsidiary Fuso has also brought liquid hydrogen truck propulsion to Japan. However, Fuso recently merged with the Toyota commercial vehicle subsidiary Hino. Now the new joint venture, known as Archion, has to coordinate its hydrogen truck offerings. Almost a year ago, Hino launched the Profia Z heavy-duty truck, which runs on a fuel cell from Toyota's Mirai hydrogen car. The truck is, however, refueled with compressed hydrogen.

In Germany, the plan is to have three-quarters of newly registered heavy commercial vehicles running on emission-free fuel by 2030. "The majority will be battery electric, but a significant proportion will run on hydrogen," Minister Schnieder told reporters. Japan, meanwhile, has not set any comparable targets.

Daimler wants to establish its liquid hydrogen refueling system, co-developed with Linde, in Japan with the help of the new Archion joint venture to make liquid hydrogen available for trucks there. So far, Japan has only filling stations for compressed hydrogen. Fuso's H2FC truck — the first in Japan to run on liquid hydrogen — will therefore remain a concept vehicle for the time being.

This article was translated from German.